Upload
others
View
2
Download
0
Embed Size (px)
Citation preview
2011-12 was a challenging year, for Indian Industry, for India, and indeed, for the world. Amidst
global turbulence and domestic flux, CII set an ambitious chart for the year, sweeping across the
canvas of economic activity. Identifying Affirmative Action, Governance and Skill Development
as the key catalysts in our action agenda, we worked with diverse stakeholders to deploy
change agents such as competitiveness, corporate governance, knowledge
and innovation, policy advocacy, trade and globalization, to meet the
contemporary challenges of human capital, health, inclusive development,
and sustainability, effectively supported by our chain of partners. Our
network of offices in the regions, states and zones across the
country were the delivery channels for our services and
initiatives to enhance the progress,
productivity and prosperity of
our core, our membership.
The year 2011-12 was disappointing on the
economic front with GDP growth decelerating
to 6.9% from the 8.4% of the previous two
fiscal years. Under the theme ‘Business for Livelihood,’
CII continued to focus on its triple objectives of
work on economic policies, engaging with, and
contributing to, the society at large, and improving
its services to member companies.
On the policy front, major announcements on
National Manufacturing Policy and the Strategy for
Doubling Exports in the Next Three Years included
many inputs from CII. CII also comprehensively
worked on raising awareness on the need to make
India a single market through the Goods and Services
Tax, and organising interactions round the country,
in this regard. Similarly, we gave suggestions on the
Direct Taxes Code, the Companies Bill, and other
legislative drafts. Infrastructure was a key area of
emphasis, especially the Power Sector, which has
been facing multiple challenges.
On contributing to society at large, I am happy that
CII continues to make progress on Affirmative Action,
Skill Development, and on Governance.
Mr Harpal Singh, Mentor and Chairman Emeritus,
Fortis Healthcare, took over as CII’s first Ombudsman
on Affirmative Action. Over 12000 SC/ST students
received scholarships, while 33,641 students
received skill training. Notably, CII worked with
the Dalit Chamber of Commerce and Industry to
strengthen vendor development and has initiated an
entrepreneurship programme too.
Skill Development was a major priority. About 10
million people join the workforce each year, and
need to be provided with productive livelihood
opportunities. We
set up three skill centres to train
1000-3000 students each year, and
three more are to come up shortly.
I am particularly pleased with
the eight Skill Gurukuls set up in
partnership with PAN IIT to train
200-400 youth annually.
Under the Governance focus,
the Task Force on Integrity and
Transparency in Governance, set up
in March 2011, came out with a
voluntary Code of Business Ethics.
This is a guide for employees
of member companies on what
constitutes fair and transparent
business practices and what ethical
conduct is required in dealing with
all stakeholders. I urge members
to disseminate the Code to their
employees.
This year, CII launched a new Centre of Excellence,
the CII-Triveni Water Institute, and has initiated the
Centre of Excellence on Technology and Innovation
– Global Innovation and Technology Alliance (GITA).
These take forward our comprehensive spectrum of
advisory and training services for industry.
CII continued its focus on enhancing membership
engagement and providing value-added services to
our members. To engage more with members and
deepen their involvement, 77 Member Meets were
organised in 42 locations and attended by more than
3000 members. As a part of the Outreach initiative of
meeting members at their premises, our colleagues
from the CII Secretariat visited 850 member
companies over the year. We also formally launched
an IT-enabled platform called ‘mycii.in’ for facilitating
business-to-business opportunities, with up-to-date
business leads and tender information. This portal also
allows CII Members to participate
in the various discussion boards and
online communities.
Reflecting the growing presence
of India on the global stage, a
number of Heads of State and
Government visited India this
year. They included Prime Minister
Yoshihiko Noda of Japan, Prime
Minister John Key of New Zealand,
Prime Minister Yingluck Shinawatra
of Thailand, and President Truong
Tan Sang of Vietnam, as well as
top ministers and officials from
many other countries. CII had
fruitful and positive interactions
with the accompanying business
delegations. Similarly, a number of
business to business and business
to Government interactions were
held. CII delegations travelled
to several countries, including the USA, UK, Brazil,
Germany, South Africa, Pakistan, Nepal, Sri Lanka,
Indonesia, Singapore and Malaysia.
Being President of CII has been a humbling
experience, and an extremely rewarding one. I would
like to thank President-Designate Adi Godrej and
Vice President Kris Gopalakrishnan, as well as all the
Regional Chairmen, and the Chairpersons of the
Councils and Committees, for their leadership role
and tremendous support over the year. I wish you all
the best for the coming year.
B. Muthuraman
President, Cll
The CII Voluntary
Code of Business
Ethics is a guide
for employees of
member companies
on what constitutes
fair and transparent
business practices,
and what ethical
conduct is required
in dealing with all
stakeholders
The past year was characterised by marked
deceleration in economic growth, primarily
due to the slowdown in industrial growth. The
manufacturing sector is estimated to have expanded
by a weak 3.9% over the year, about half the rate
of the previous year. Within this scenario, CII
redoubled its efforts for a conducive policy regime
that would boost corporate investments and
manufacturing growth.
The National Manufacturing Policy was a major
policy announcement during the year. It set a
target of increasing contribution of the
manufacturing sector to 25% of GDP by 2025 and
creating 100 million new jobs. CII’s Manufacturing
Council partnered closely with the Department
of Industrial Policy and Promotion, providing
inputs and suggestions for a facilitative policy
roadmap. I must say that the policy is
well-rounded and meets many of our
expectations. We hope it is put into play rapidly.
CII was also active in the preparation process
for the 12th Plan and worked with the Planning
Commission’s sectoral and cross-cutting Working
Groups. I believe that the next five years will be
critical to set India on the path of rapid
manufacturing growth, and CII must continue to
engage with government and industry for
optimal outcomes.
Our agendas for the different sectors continued at
a intensive pace. The Committee on Capital Goods
and Engineering provided detailed inputs for the
Capital Goods report for the 12th Plan and worked
on secondhand machinery imports. Standards and
regulations were highlighted for the chemical sector,
and ICTE hardware manufacturing worked on
simplification of procedures and alternatives to the
DEPB scheme for export promotion.
The mining sector was a particular
area of concern as it has emerged
as a supply bottleneck. We
expressed our concerns with
respect to the draft Mining
and Minerals Development and
Regulation Bill 2011 at a series of
interactions with policymakers.
The impact of illegal mining has
also severely hampered industry
and was discussed
at length.
The MSME agenda continued
with strong interventions in
policy as well as competitiveness.
CII brought out a Sixteen Point
Agenda for MSMEs, emphasizing
supplier diversity and inclusiveness,
innovation and intellectual
property rights, among others.
Several notable achievements marked the year,
including the establishment of a SME Exchange
by BSE and NSE, mandatory 20% sourcing
by public sector enterprises, and passing the
Factoring Regulation Act for addressing delayed
payments. Along with various events covering
different aspects of concern to MSMEs, CII provided
holistic services in competitiveness to small
enterprises.
The ASCON conducted its comprehensive rounds
of surveys which have become the bellwether for
industrial growth. The ASCON platform serves to
I believe that the
next five years will
be critical to set
India on the path of
rapid manufacturing
growth, and CII
must continue
to engage with
government and
industry for optimal
outcomes
converge and shape policies and
highlight areas of intervention.
In Corporate Governance,
CII has always been a leader.
We continued to supply our
recommendations on the landmark
Companies Bill for a facilitative and
light-handed regulatory regime.
The first National M&A Summit
was held during the year, and
CII worked on the Combinations
Regulations with the Competition
Commission.
The Indian economy stands at a
challenging juncture, and it was
a learning experience for me to
see the many ways that CII helps
members adapt to changing
circumstances.
I take this opportunity to thank President, CII, and all
the members who supported me, and look forward to
working with you as the economy heads into a
better year.
Adi Godrej
President-Designate, Cll
Over the last many years, CII has been
continually progressing on new areas of
support to members through dedicated
institutional capabilities. These include the Centres
of Excellence that provide focussed advisory and
training services and certifications in different
fields of competitiveness. But there are always new
opportunities ahead. The CII experience of member
enterprises should be consistently rewarding and
enriching, offering multi-dimensional platforms for
tangible benefits.
Our focus for the year was a strategic endeavour
for engagement, information and value-addition
for members. Under the engagement plank, member
meets at over 40 locations throughout the country
helped bring together some 3000 people who came
forward with valuable perspectives and suggestions
on a range of issues. CII also interfaced with member
companies directly at their own premises by visiting
850 sites under the ‘Outreach Initiative’.
A tool-kit has been put together for new members
to understand and take advantage of the vast
array of diverse services that CII has on offer for its
membership. Twenty-two induction sessions were
conducted for 253 new members during the year.
Similarly, we reached out to new geographies and
segments to attract more members through road
shows held at 15 cities. I must say that there was
encouraging response and we must continue to
raise awareness about CII competitiveness and
networking services.
As part of our information services, we are now
bringing out a comprehensive weekly email to
members, which details out
important relevant information.
The email covers latest economic
statistics and developments, central
and state government notifications
and policies, and a list of important
CII activities and publications.
Legal and tender advisory services
have been added for greater value
to members. The legal services are
available on any tax, compliance,
labour, intellectual property or
other pertinent laws from experts
in respective fields.
I am particularly happy about the
tender notice information which brings together
tenders issued in over 200 countries and provides
a holistic list of upcoming opportunities across all
sectors in a searchable database with option for
email alerts. I would recommend that members
take advantage of this free service offered
through mycii.in.
In today’s challenging times, enterprises need access
to that extra edge that CII provides for growing
their business. CII is a member-driven organisation,
and our initiatives are derived
from member aspirations and
engagement.
As you will see from this Annual
Report, our range of activities
extends into multiple spheres of
human endeavour, spearheading
industry involvement with
society and people. I am proud
that CII’s services catalogue in
competitiveness, networking
events and trade shows is
unmatched.
It is with great anticipation that
I step into my new role in the
coming year, and I look forward to your suggestions
and initiatives so that CII remains
best-in-class.
S. Gopalakrishnan
Vice President, Cll
CII is a
member driven
organisation, and
our initiatives
are derived
from member
aspirations and
engagement